New Zealand PM John Key unexpectedly steps down

Prime Minister John Key resigns after eight years in power, calling it the hardest decision he has ever made.

05 Dec 2016 05:02 GMT

New Zealand's popular Prime Minister John Key has unexpectedly announced his resignation, saying he was never a "career politician" and it was the "right time" to go after eight years in the job.

Key had been widely expected to contest his fourth general election next year. But he said he wanted to ensure he did not make the mistake that some other world leaders have done, and instead wanted to leave while he was on top of his game.

The former Merrill Lynch currency trader called it "the hardest decision I've ever made", with no plans on what to do next other than spend more time with his family.

Key recently marked his eighth anniversary as prime minister and 10th year as leader of the centre-right National Party, which is due to meet next week to elect his successor. His deputy Bill English is widely seen as favourite to take over.

Opinion polls have consistently pointed to Key becoming the first political leader in New Zealand history to win four consecutive elections when the country votes next year, but he said records were not a consideration.

"If you're staying for the record of the time you're staying for the wrong reason," Key said on Monday.

When he heard the news, Australian PM Malcolm Turnbull, right, sent his close friend Key a brief text message: 'Say it ain't so bro' [Dean Lewins/Reuters]

Key came into politics relatively late, entering parliament in 2002 and assuming leadership of the centre-right National Party four years later.

In 2008 he ended nine years of Labour Party rule, ousting then Prime Minister Helen Clark.

He won plaudits for his leadership during a string of crises in his first term, including a devastating earthquake in Christchurch in February 2011 which claimed 185 lives.

The 55-year-old also steadied the economy after the global financial crisis without resorting to hardline spending cuts, instead taking a steady, pragmatic approach that saw the budget return to surplus in the 2015-16 financial year for the first time since 2008.

'Say it ain't so bro'

When he heard the news, Australian Prime Minister Malcolm Turnbull sent Key a brief text message: "Say it ain't so bro", telling reporters in Melbourne he considered his close friend "one of the most outstanding national leaders in the world today".

New Zealand opposition Labour Party leader Andrew Little acknowledged Key was popular but said he understood why he was walking away.

John Key has served New Zealand generously and with dedication. I wish him and his family the best for the future.